Mortgage Exit Fees successes and failures

dunstonh

wildtrout wrote: »

sent a letter to alliance & leicester asking for a refund as i paid £295
used the template letter. got a relpy to say that they feel the fee has not been unfairly applied and therefore cannot agree to a refund. should i except this or do something else

wildtrout

Their response is consistent with the FSA ruling. You should be charged only what was on the agreement when you took the mortgage out or the last deal you arranged (whichever is later). If the fee was £295 at that point, then £295 is what you should pay.

The mortgage redemption charge is not about it being unfair but the increases being unfair. As you had no increase and paid what you were told you would be charged when you took the mortgage out then you have nothing to complain about.

MarkyMarkD

As I have stated on other threads, threatening the Ombudsman in a totally false claim - e.g. where you signed up to £295 and have been charged £295 - will NOT result in the financial institution being charged. The Ombudsman will dismiss the complaint immediately and no fee will be levied.

henrietta7_2

Thank you very much for excellent advice, I phoned RBS and 2 days later got a cheque for £150, simple :T

pegasusII

Just want to say thanks, I nearly didn't bother claiming MEAF as I calculated we would only be owed £19.80 including interest, however I thought it was worth a letter and a stamp so I went ahead. 9 days after writing the letter I got a reply from C & G saying they would be sending us a cheque for £157.16! Simple as that!!
Thanks again
:beer:

graham.f.1

B&W offered me £45 as the difference between £150 quoted and £195 paid. I wrote back and asked for them to breakdown the £150 as it's too much (as per Martin's templated letter) - they have now given me the whole £195!

I did the same with BMS - they said £100 quoted, £150 paid, and have now offered me the whole fee of £150 back plus interest!

Simply, use Martin's template letters, and be persistent. Giving me a refund was their choice.

merlinc

:j Thanks Martin used the letter template and what a result

Requested £191.40 A&L (overpayment plus 8% interest x 4 years)

letter received 7 days later plus cheque for £346.92 (A&L decided to reduce fees to customers who took mortgages before 2004 to original fee of £40 plus interest)

wee_but

just recieved repayment from the halifax of £35. very quick only waited 5 days however having problems with alliance @ leicester. refusing to pay back £295 which they told me on the phone that i was entitled to. now saying changed their policy in Aug 04 and will get nothing back. any suggestions on what to do?

dunstonh

however having problems with alliance @ leicester. refusing to pay back £295 which they told me on the phone that i was entitled to. now saying changed their policy in Aug 04 and will get nothing back. any suggestions on what to do?

A&L have been £295 for a long time. If it was £295 when you started the mortgage or bought the last deal (whichever is later) then you are not entitled to anything back. You can only claim the difference.

MarkyMarkD

They have been £295 since August 2004, in fact. If you took out your mortgage or switched product or took a further advance since that date, then they owe you nothing.

LULULU1

Hi,

I have a mortgage with Northern Rock but am moving to First Direct on 1st May.

I have received a mortgage redemption statement from Northern Rock stating a fee of £250 for "Discharge of Mortgage fees". Firstly is this the same as a exit fee.

Also is £250 excessive and is it worth writing to them.


We have been with Northern Rock for 13 years and have been on various fixed rates in that time.

Many thanks for any help.